Research on Drax Group plc (DRX:LON)  from Longspur Clean Energy

Drax has issued a trading update covering performance of the business since the H1 results and including the acquisition of Bluefield Solar Income Fund (BSIF). The period has also seen unusual pressures on the GB electricity system during the summer heatwave and Drax has been able to provide additional services to keep the system balanced during this period. As a result the company now expects full year adjusted EBITDA to be at the top end of the consensus range. We have increased our forecasts for FY26 to reflect this with adjusted EBITDA rising to £710m from £688m and our central case valuation increasing to 1,141p from 1,136p.

View Full Research